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Gov. Bullock has vetoed tax simplification twice!

by BigforkBob Chrysler
| October 22, 2016 11:34 AM

Gov. Bullock is running ads stating he is for fair taxes.

The irony is incredulous. In 2013 and again in 2105 the Legislature passed tax simplification bills that were well crafted and widely supported. Gov. Bullock vetoed all efforts.

Montana has one of the most complex, if not the most complex, individual tax returns in the country. Here are some of the reasons Montana’s individual tax return is so complex.

Once you have established federal adjusted gross income, there can be up to 50 adjustments before you arrive to Montana adjusted gross income.

Thousands of Montana taxpayers who take the federal standard deduction must itemize on their Montana return to get to the lowest Montana taxable income. If you are married and both spouses work, and/or have separate taxable income, it is almost always advantageous to file separately.

This requires you to allocate income and deducations between spouses and doubles your input.

Finally, after you calculate your taxes, you have to consider 26 tax credits. Of course, if you file a Montana tax return you know all this.

The Montana Legislature carefully crafted bills that greatly simplified the Montana tax return. These bills started with federal adjusted gross income, increased the the standard deduction, provided tax tables for married filing jointly and head of household, and removed all but the most popular tax credits.

The bills were also designed to be virtually revenue neutral, and to minimize any differences the changes in the law would have on individual taxpayers.

Gov. Bullock vetoed those tax simplification efforts. In his veto letter, he pointed out that the Montana tax system is stable, progressive and fair. The Legislature offered bills that were progressive, fair and simple. It is my personal opinion that the reason he vetoed the legislation was to protect the bloated bureaucracy at the Montana Department of Revenue.

Montana taxpayers deserve tax simplification. Greg Gianforte will sign tax simplification. Gov. Bullock has vetoed it twice. Montana taxpayers, the choice is yours.